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The U.S. ranked the second-best country for travel and tourism in 2026—here’s what stunning Asian destination beat us

With a wealth of cultural and natural resources, excellent infrastructure, safety and competitive pricing, Japan takes the global lead.

Gerrish Lopez
Written by
Gerrish Lopez
Time Out Contributor, US
Traveler visiting Bryce Canyon national park in Utah
Photograph: Shutterstock | Traveler visiting Bryce Canyon national park in Utah
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International travel hit a record high this past year, with 1.5 billion tourist arrivals and tourist spending reaching a staggering $11.6 trillion worldwide. But according to the World Economic Forum’s latest Travel & Tourism Development Index (TTDI), the secret to being a great destination for tourism isn't just about racking up the visitor numbers—it’s about how well a country manages them.

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This year, Japan took the number-one spot in the world, jumping up two spots and knocking the United States down to second place. How did they do it? The island nation has become a bucket-list destination for many, starting with Tokyo (which took the number 10 spot in Time Out's Best Cities ranking for 2026). But The TTDI ranking doesn't just count who gets the most visitors or who makes the most money. Instead, it ranks countries based on 17 behind-the-scenes factors that make traveling smooth, safe, and enjoyable. These include safety and cleanliness, public transit quality (like bullet trains and subways), digital conveniences (easy mobile payments and fast Wi-Fi), cultural sites (like UNESCO heritage spots) and travel policies (how easy it is to get a visa).

Pagoda of Chikurinji at Mount Godai in Kochi City, Japan
Photograph: Richie Chan/ShutterstockPagoda of Chikurinji at Mount Godai in Kochi City, Japan

While the U.S. ranked second thanks to its huge national parks and iconic big cities, Japan won overall because its setup for visitors works so seamlessly. The country has also worked to spread visitors around. In 2025, Japan welcomed a record 42.7 million international visitors who spent nearly $60 billion. Usually, that many tourists cause massive overcrowding, long lines and frustrated locals. But instead of relying on the same three famous spots—Tokyo, Kyoto and Osaka—Japan’s tourism board actively encouraged travelers to visit lesser-known regions. By making visas easier to get and making trains and buses simple for foreigners to navigate, Japan successfully guided millions of tourists out into quieter, rural countryside areas.

As travel gets more expensive and crowded worldwide, Japan proved that the best tourism strategy isn't just attracting huge crowds—it's building clean transportation, keeping places safe and making sure visitors are spread out so the country can welcome them for years to come.

The top 10 countries for travel and tourism in 2026, according to TTDI

  1. Japan
  2. United States
  3. Spain
  4. Australia
  5. France
  6. Germany
  7. United Kingdom
  8. China
  9. Switzerland
  10. Italy
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